R125.8 Million Tax Battle: Five Properties Linked To Shauwn Mkhize Face Sale After Court Ruling

SARS Bombshell: Court Approves Sale Of Shauwn Mkhize-Linked Luxury Properties As R125.8 Million Tax Dispute Intensifies

Businesswoman Shauwn Mkhize has suffered another significant legal setback after the Durban High Court authorised the sale of five luxury residential properties in Sandown, Johannesburg, linked to her and her family, as the South African Revenue Service (SARS) pursues outstanding tax debts exceeding R125 million.

The order, delivered by Judge Jacqueline Henriques on Monday, 26 October 2026, provides for the proceeds from the properties to be held in an interest-bearing trust account under the control of a curator bonis while further legal proceedings unfold.

The ruling does not mean the properties’ sale proceeds have already been handed to SARS. Instead, the money must be preserved pending a further court process to determine whether the assets or proceeds can be used to satisfy the alleged tax liabilities.

The case highlights the ongoing efforts by SARS to recover substantial unpaid tax debts and protect assets that may be required to settle outstanding obligations.

According to the court papers, the preservation order was initially granted on 21 November 2024 under the Tax Administration Act.

SARS stated that, as of 19 September 2025, Mkhize owed approximately R13.3 million in personal income tax. The tax authority also maintained that she was personally liable for a further R112.5 million linked to tax debt associated with the Zikhulise Group, including interest.

The properties are now central to SARS’s efforts to protect assets while pursuing legal recovery of the outstanding debt. The latest order gives the tax authority one month to institute proceedings seeking to have the properties, or the proceeds from their sale, declared executable against the tax liabilities.

That next legal step will be important in determining whether the money can ultimately be applied towards the debt.

The five Sandown properties have a combined municipal valuation of approximately R22.83 million. Their estimated market value is R35 million, while their combined forced-sale value is about R24.5 million.

Court documents also raised concerns about the cost of maintaining the properties while the legal dispute continues.

Municipal arrears for four of the properties reportedly amounted to R1.8 million as of 3 October 2025. Meanwhile, security expenses across the properties reached approximately R188,000 per month, with SARS paying those costs.

The court noted that maintenance expenses and mounting security costs were eroding the value of the assets, strengthening the case for their sale rather than allowing further expenses to accumulate.

Judge Henriques dismissed preliminary legal objections raised by the opposing parties, finding that SARS was entitled to the orders it sought at this stage.

The judge also noted that the factual allegations advanced by SARS had not been disputed by the opposing parties in the proceedings.

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